Indian Stamp Act (ISA) amendments were made effective from 1st July 2020. The said amendments on one hand brought in rationalization in charging of duties on issue & transfer of securities for pan India transactions & on the other hand done away with the concepts of duty on securities certificates, letter of allotment, instrument of trans...
Read More
INTRODUCTION The government of India through the Finance Act, 2019 bought 360-degree change under the Indian Stamp Act, 1899(hereinafter called as Stamp Act). Though there are numerous reasons for amending Stamp Act, some of the reasons are very explicit and some of them are not. However, no one can deny the fact that Stamp Act […]...
Read More
The decision of Arbitral Tribunal is termed as ‘Arbitral Award’ under the Arbitration and Conciliation Act, 1996 ( Arbitration Act). Pursuant to Section 28(2) of the Arbitration Act, the Arbitral Tribunal shall decide ex aequo et bono [in justice and in good faith] or as amicable compositeur only if the parties expressly authorised it...
Read More
Frequently Asked Questions (FAQs) on Indian Stamp Act, 1899 Amendments and Rules made thereunder Q.1 Why amendments in the Indian Stamp Act, 1899 have been made? Answer: The amendments have been carried out with respect to securities market transactions. The present system of collection of stamp duty on securities market transactions has ...
Read More
The amended provisions of the Indian Stamp Act, 1899 brought through Finance Act, 2019 and Rules made thereunder shall come into force w.e.f 1st July, 2020. The changes are summarised as follows: 1. The amendments to the Stamp Act, 1899 deals with the duty levied upon the transactions carried out in the security market as […]...
Read More
What is Stamp duty? Stamp duty is the tax amount an individual pays to the Government (Central and/or State of Gujarat) for executing various types of deeds or documents which have some sort of financial exchange, transaction or obligation associated with it. Stamp duty is also chargeable on the registration of sale, purchase or transfer ...
Read More
It is to be noted that the central Stamp Act of 1899 does not provide expressly about the validity of totally non-stamped instruments/documents as evidence. However this Act provides for the admissibility of the under stamped/insufficiently stamped instruments/documents. The central legislation in sections 33 and 35 deal about the under s...
Read More
Aruna Kommuri Vs ACIT (ITAT Hyderabad) -
The issue under consideration is whether the provisions of section 50C of the Act can be applied in cases where the market value of the property is reduced due to the defect in the title of the property?...
Read More
Revised Stamp Rates: The Finance Act has also amended the Schedule I of the Stamp Act, to change some existing duties and provides for new duties in case of transactions related to transfer....
Read More
With the objective of bringing uniformity in the stamp duty levied on securities transactions across states, the Government of India amended the Indian Stamp Act 1899 (revised Act), through Finance Act, 2019, and the relevant Stamp Rules, 2019, were notified on December 10, 2019. The revised Act has come into effect from July 1, 2020. [&h...
Read More
Relevant Date: 21st February 2019 Introduced by: The Finance Act, 2019 Reason for the Amendments The current mechanism of collection of stamp duty on securities market transactions has subject to multiple rates for the same instrument, resulting in jurisdictional disputes and multiple incidences of duty, thereby raising the transaction ...
Read More
Relevant Date: 21st February 2019 Introduced by: The Finance Act, 2019 Instruments chargeable with duty for transactions in stock exchanges and depositories. Insertion of New Part AA in chapter II of the Principal Act Part AA is all about the liabilities of Instruments of Transactions in stock exchange and depositories to duty. Instrum...
Read More
Frequently Asked Questions (FAQs) on Indian Stamp Act, 1899 Amendments and Rules made thereunder Q.1 Why amendments in the Indian Stamp Act, 1899 have been made? Answer: The amendments have been carried out with respect to securities market transactions. The present system of collection of stamp duty on securities market transactions has ...
Read More
Release ID: 1635399 -
(30/06/2020) -
Implementation of Amendments in the Indian Stamp Act, 1899 and Rules made from 1st July, 2020 for Rationalized Collection Mechanism of Stamp Duty across India with respect to Securities Market Instruments...
Read More
Brilliant Foundation Vs State of Madhya Pradesh and others (Madhya Pradesh High Court) -
In the present case, respondent rejected the refund of excess amount of stamp duty paid on the ground that the said provision does not apply to the case of the petitioner/company as ad-valorem duty was paid at 1% and not at 5% of the market value....
Read More
As a general public we have tendency to save taxes by adopting various tricks and transactions. A lot of black money is generated through transfer of various types of immovable properties. The seller and the purchaser generally mutually agree on a transaction to enter into agreement at a price lower than the Fair Market Value of property ...
Read More
In India buying or selling of properties (Land & Building) at a value lower than the stamp duty value is very much prevalent to save the Stamp Duty on registration, which causes loss of revenue to the Government. Loss is not of just Stamp Duty revenue but also of Income Tax revenue that is to be paid by assessee on Income under head Capit...
Read More
Crystal Construction Company Vs Additional Controller of Stamps (Bombay High Court) -
Collector of Stamps committed a manifest error in not at all adverting to the fact that the Charity Commissioner had determined the value of the trust property by following requisite process to ensure the best value, and determining the market value of the trust property on the sole premise that there was a vast difference in the value de...
Read More
It is incumbent upon the Courts to see the validity of an arbitration agreement, that it passes the test of the requirement of Indian Stamp Act, 1899, before considering an application under Section 11 of the Arbitration & Conciliation Act, 1996....
Read More
The concept of relationship between a State & its subjects has grown since time immemorial and like-wise the sense of taxation & revenue of the State has grown simultaneously. Stamp duty, which is one of the most prominent ways of revenue generation in modern world, is thought to originate in the early 17th century, Holland. [&hel...
Read More
Agreements being the heart and soul of a business, they need to be enforceable documents. The enforceability of such documents are subject to the satisfaction of the provisions under the Indian Stamp Act,1899 read with the Registration Act, 1908....
Read More
Stamp Duty Collection on Sale of Securities made over Stock Exchanges- To be collected by Stock Exchange itself: Effectiveness of the Amendment Postponed. The Central Government vide the Finance (Amendment) Act, 2019 had amended certain provisions of the Indian Stamp Act, 1899 in February 2019 [ Chapter IV, Part I]. One of the amendment...
Read More
Government broadens pertinence of stamp duty by 3 months from 1st April 2020 to 1st July 2020 The administration has not broadened the current 2019-20 financial year and it will end as planned on March 31, the finance minister said on 30th March 2020. Press Trust of India incorrectly revealed that the new financial year will begin fro...
Read More
Notification No. S.O. 1226(E). -
(30/03/2020) -
Recently a message is circulating on Social Media which claims that Financial Year 2019-20 ending on 31.03.2020 is been extended to end on 30.06.2020. With this message a Government notification issued by Ministry of Finance is also been circulated. Here we would like to clarify that this notification is not fake but someone either delibe...
Read More
Notification No. G.S.R. 226(E) -
(30/03/2020) -
Today Government notifies Indian Stamp (Collection of Stamp-Duty through Stock Exchanges, Clearing Corporations and Depositories) (Second Amendment) Rules, 2020 which further amended further amend the Indian Stamp (Collection of Stamp-Duty through Stock Exchanges, Clearing Corporations and Depositories) Rules, 2019. MINISTRY OF FINANCE (D...
Read More
Stamp duty is a kind of tax collected by the state government under the Section 3 of the Indian Stamp Act, 1899. The stamp duty rates depend upon the type of the documents, contracts, assets, transactions value, tenure and gender and so on. For example, the stamp duty rate for transfer of property will be […]...
Read More
Stamp Duty from Allottees on alleged ‘Conveyance/ Transfer’ of Superstructure of an Apartment/unit built by a Builder patently illegal Much before the introduction of GST, a controversy arose as to whether the Builder/ Developer builds a building, intended for sale, on his own behalf or on behalf of the prospective purchasers....
Read More
Various Timelines to be kept in mind: -As per the Companies Act, 2013 every Company shall allot equity shares to the subscribers within 60 days of receipt of Share Application Money. -The Company shall thereafter issue share certificates to the aforesaid allottees within 2 months from the date of allotment. -As per the Indian Stamp [&hell...
Read More
Stamping and Franking are two widely misunderstood terminologies that require utmost clarification while dealing with documents and payable instruments. A stamp duty is the tax levied on legal documents commonly in the transfer of assets or property. In India, some of the contracts, real estate transactions, mortgage deeds etc. need to be...
Read More
Imposition of Stamp Duty on Transfer of Securities In DMAT Form In Unlisted Public Companies Before the recent notification in the Finance Act, transfer of securities in dematerialised form was not subject to any stamp duty. Recent amendment puts an end to any such relaxation. As we are aware that MCA has made it obligatory […]...
Read More
S.O. 115(E), S.O. 116(E), S.O. 117(E) -
(08/01/2020) -
Central Government appoints 01.04.2020 instead of 9 day of January, 2020, as the date on which the provisions of Part I of Chapter IV related to Amendments to Indian Stamp Act, 1899 which were notified by Finance Act, 2019 (7 of 2019). MINISTRY OF FINANCE (Department of Revenue) NOTIFICATION New Delhi, the 8th January, 2020 […]...
Read More
Sri B R Jagadhish Vs District Registrar & Deputy Commissioner for Stamps (Karnataka High Court) -
Deputy Commissioner for Stamps (DC) erroneously directed assessee to pay stamp duty under Article 28(a) of the Stamp Act without properly examining the recitals of the document where the relationship of the donor and the donee was clearly mentioned and without looking into the provisions of Sections 2 and 3 of the Stamp Act, therefore, th...
Read More
Analysis of The Indian Stamp (Collection of Stamp- Duty through Stock Exchanges, Clearing Corporations and Depositories) Rules, 2019. Article explains post amendment What will be the rate of the Rate of the stamp duty?, Who will be liable to pay Stamp Duty, Who will collect the Stamp duty and What will be the collection mechanism? [&helli...
Read More
Notification No. G.S.R. 901(E) -
(10/12/2019) -
(1) These rules may be called the Indian Stamp (Collection of Stamp-Duty through Stock Exchanges, Clearing Corporations and Depositories) Rules, 2019. (2) They shall come into force on the 9 day of January, 2020....
Read More
Notification No. S.O. 4419(E). -
(10/12/2019) -
Central Government appoints 9 day of January, 2020, as the date on which the provisions of Part I of Chapter IV related to Amendments to Indian Stamp Act, 1899 which were notified by Finance Act, 2019 (7 of 2019). Also Read- Amendments to Indian Stamp Act, 1899 applicable from 09.01.2020 MINISTRY OF FINANCE (Department of […]...
Read More
Article explains Provisions of Stamping of share certificate, Stamp Duty Payable for Stamping, Where to Pay Stamp Duty, Documents required for Stamping of Share Certificates, Who is required to sign documents required for Stamping of share certificate, Stamping under Normal Time Period when documents uploaded at the Portal, Stamping o...
Read More
The Indian Hume Pipe Co. Ltd. Vs. State of Maharashtra (Bombay High Court) -
The Indian Hume Pipe Co. Ltd. Vs. State of Maharashtra (Bombay High Court) The bench noted that, in the present case, the deed is used in the State of Maharashtra for registering a charge by lodging a verified copy of the deed in the office of the Registrar of Companies in accordance with sections 125 […]...
Read More
Indian broadcasting foundation vs state of maharashtra and ORS (Supreme Court of India) -
Argument that it affects the freedom of press and freedom of speech and expression as enshrined under Article 19(1) (a) of the Constitution of India, is mercurial proponement because levy of stamp duty has nothing to do with the concepts that have been highlighted by the learned counsel for the petitioner-Foundation....
Read More
The basic purpose of Indian Stamp Act, 1899 is to raise revenue for Government, and government would like to earn more money either by imposing a tax or by charging Duty and in that Duty includes the Stamp Duty, the matter is not relevant but the money is more important for government in the present scenario....
Read More
Deputy Chief Minister of Delhi Manish Sisodiya presented the Annual Budget for 2016-17 in Assembly on 28.03.2016 and rationalisesd VAT and Other Duties which may result in reduction in prices of readymade garments, shoes, watches and electric and hybrid vehicles. In this Article we have covered Highlights of Changes related to Taxes/ Dut...
Read More
Paying stamp duty while purchasing or transferring a property is often a long-drawn process. You need to go to the registrar's office and await your turn, or seek a broker's help to get the job done with minimum fuss. But there is yet another way -- ...
Read More
“The imposition of stamp duty by states has become a problem. The concept was to validate a trade; it has been converted into a tax. Within the next few months, almost all states will impose it. An easy source of revenue, it’s mindless application of law,” said a member of the Association of NSE Members of India (Anmi), an associati...
Read More
The Madras High Court has held that an instrument, whether a certificate of sale or sale deed, issued in a public auction of properties, was chargeable with stamp duty under Article 18 read with Article 23 of Schedule I to the Indian Stamp Act, 1899....
Read More
Thus, for the benefit of all the Public Charitable and Religious Trusts, Trustee & all such Trusts should jointly make a petition before Law Minister, Law and Judiciary Department Sachivalaya, Maharashtra to amend this and other similar provisions in such a way that the approval should be granted/rejected within 3/4 months on the lines of...
Read More
The Law Commission is in favour of amending the country's archaic Indian Stamp Act 1899 and the Court-fees Act 1870, which entail payment of stamp duty on instruments and court-fee on documents to be filed in courts only in the form of adhesive stamps or stamped papers.Taking up the obsolete statutes suo motu for a thorough study, the Law...
Read More
Mumbai: Revenue department has approved a proposal to levy a flat 1% charge on property registrations with immediate effect, doing away with the Rs30,000 ceiling. Revenue minister Narayan Rane lifted a stay on an earlier order of the government. The decision on the 1% property registration fee was taken by then revenue minister Patangrao ...
Read More
Come September, the incorporation of companies or various regulatory filings will not be a cumbersome and time-taking exercise anymore. The government is going to start e-stamp facility that would allow corporates to deposit stamp duty electronically. From September 12, stamp duty for various instruments including Memorandum of Associatio...
Read More
The Explanation to the definition provides that any instrument by which one co-owner transfers his property to another co-owner would be deemed to be a conveyance provided that it is not an instrument of partition....
Read More
Section 57 read with Third Schedule of the SEZ Act, 2005, has amended the provisions of Indian Stamp Act, 1899 so that no duty shall be chargeable in respect of any instrument executed by or on behalf of or in favour of the Developer or Unit or in connection with the carrying out of purposes of the […]...
Read More
